Related Articles

The Elephant Threat to Big Tech

8/19/2013 10:50AM

What do you get when you cross Google with a toy elephant? A threat to sales growth for some big technology companies, and a new breed of promising IPO candidates. Heard on the Street's Rolfe Winkler joins MoneyBeat. Photo: AP.

This transcript has been automatically generated and may not be 100% accurate.

... I ... I ... what do you get when you cross Coppola the toy elephant ... director sales growth for some big technology companies ... at a new breed of promising IPO candidates ... that's according to Heard on the Street's Rolfe Winkler who joins us now and who didn't like my teeth ... cheeses are always good ... feeling that he was a great is the elephant in the room and tools grown ... I hear it in a little of that what we're ok I think it's a fastening story about ... how soon innovations that allowed Goebel to ... solve the search problem are actually helping the whole much of its own rivals sold their own ... the data problems knocking our door suddenly I were talkin Facebook explain to post on this goes back to ... ten years ago ... and is that going on basically it there ... so we think about the problem the two will have to solve right for stuff for you story the internet mm it's huge second up how you make sense of it ... great ... goal came up with some innovations file system and David beaks and its many many thousands of hundreds of thousands of servers for behave like one big computer ... on the show one computer that can process the internet right ... well they can open a file system to make the cut of one of the computer out of me servers they also fear that we didn't build ... a sort of pseudo operating system ... to ... basically once you've got the internet in all this data into this computer honey you honey manipulated to make sensible does not it ... is what they call structure again it's not it's nothing tweets ... when they do don't miss all the way it is not in it and put it in Excel this week ... traditional databases like Oracle worm aam ... you can't do that and so ... that they did was they actually ... solve this prob and in the published ... the renovations and Ian Sherr and is in the world they called it when we do ... know what happened was hasn't happened so they're couple guys working on an open source search engine of their own part time ... because these papers ... bright ... and they basically ... adopted the technology ... and over a course of years that technology became ... an open source project called ... Hadoop ... hedges of which is named after ... the toy elephant man of ... one of those two guys kids from ... the skies open and ... so this so that now how does that claim to be talked about war upon this ... adorable ... hat as I was is authorized to their business traditional database companies hide ... the look of the deal warehouse type guys did interrogators the world IBM has sued in a warehouse worker was well ... these are products that like you said work really well with the kinds of data that fits ... neatly into a spring she ... now ... this is dated it's ... not going away in these are these are these are products that ... are actually integral to the way the economy functions the way things work the way I mean every retail transaction you do write these things are going away what what they don't do is address very well ... these kinds of new data problems that companies are having to spend money to Seoul ... right ... the problem so much or it's just a scaly up their crony it's it's it's going to limit their growth probably to extend to other companies that did the companies now stands ... you know ... the the the right to budgets are growing thirty to spend some other dollars ... on building out you know these these new ... petered Big Data and I had to cluster if you like in the day ... to close yet I didn't exist as they spend on that ... they may have fewer dollars to spend on their traditional databases is all the facilities companies don't let them go in IPO on their condolences to them that support ... again this is open source in awe of but ... this is sort of mixing apples to oranges but once upon a time ... there's this open source software called Windex ... which is ... huge and massive and a company called ready at ... him it's a lot of money ... too ... in effect support ... an open source operating system for people who want ... a who once saw me standing behind the open source code that they're using Red Hat ... it is is there ... now ... in a kind of similar way it's not it's actually not the same but but in a sort of similar way you have companies like cloud era ... for homeworks ... these are much smaller companies but basically they support ... Hadoop users ... in the background and their growing pretty quickly ... sell those guys you should try that they're probably looking towards IPO's caught Arab ... probably next year maybe by the Minister it but I doubt that ... Einhorn works in twenty fifteen ... one of those two was that ... this is become social widespread fame ... you're eating gutsy years into her story for Sears is an interesting ... case ... data are way ahead of the curve ... all I in ... the data and ... projects internally they being alive ... I've ... experimented with a lot of stuff when in fact ... the Phils have their own ... target the duty capabilities and to do a lot of their their core functions ... alignment on began according to some of my reporting ... and which is actually has smishing implications for some of the traditional guys but ... they've ... built up such a great expertise ... that ... they actually sell ... to consulting services they have a separate form now ... is part of Sears ... baby is in effect comes will consult for other companies that want to ... get some of these technologies into